Russians Shift to Short-Term Deposits Amid Banking Distrust, Economic Concerns

Russians are increasingly favoring three-month deposit accounts, now representing 33.2% of all deposits as of October, signaling a growing lack of confidence in the country’s banking system and economic stability.

The trend reflects widespread distrust fueled by the ongoing war in Ukraine and the instability of the Russian economy, with citizens hesitant to commit to long-term financial instruments. Deposits exceeding one year now account for less than 7% of all accounts. This shift in savings behavior could further constrain lending and investment within Russia.

“This is explained by total distrust of the banking system and the instability of the Russian economy,” a source stated. “Being wary of long-term risks, Russians seek to quickly obtain at least some benefit.” As deposit growth slows, Russian banks are responding by revising service conditions and introducing new incentives to attract customers, a move indicative of a deepening economic crisis. You can learn more about the impact of international sanctions on Russia’s economy from the International Monetary Fund.

The weakening Russian economy has been further underscored by recent statements from key financial leaders; Sberbank CEO Herman Gref acknowledged on September 4th that economic growth effectively stalled in the second quarter of 2025. The IMF previously predicted a return to stagnation for Russia following a brief period of “military boom,” and a continued decline relative to both developed and developing nations. Reuters reports that the banking sector is preparing for potential state support to prevent collapse.

Officials indicate that Russian banks will continue to monitor the situation and adjust strategies as needed to maintain stability in the face of these evolving economic pressures.